StatsCan survey shows uneven impact of COVID-19 on Canadian businesses

Just over 71 per cent of businesses owned by women, Indigenous people, visible minorities, immigrants and persons with disabilities have reported a high drop in demand, reports a new survey — six per cent higher than the national average.

The Canadian Chamber of Commerce says the survey shows that COVID-19 is having a more severe impact on “diversity-owned businesses,” though it indicates that “each group expects to rebound in a similar time and fashion as other businesses across the country.”

“The survey results are the first to demonstrate how diverse segments of business owners are experiencing the COVID-19 crisis. It shows their resiliency in adapting to new economic conditions. These findings will be useful for policy makers and business leaders to ensure an inclusive recovery,” Leah Nord, the chamber’s director of workforce strategies and inclusive growth policy, said in a statement.

Furthermore, 51 per cent of businesses owned by women, Indigenous people, visible minorities, immigrants and persons with disabilities in the survey said they could remain open for no longer than 60 days without a source of revenue. The national average is 42 per cent. Meanwhile, just under 49 per cent of these businesses said they could remain open for no longer than three months amid social distancing — roughly 10 per cent higher than the national average.

The federal business wage subsidy program, which offers to cover 75 per cent of wages for Canadian businesses severely hurt by COVID-19, began accepting applications on April 27. The first payments under the program will reach businesses this week.

The numbers also offer a detailed look at how the actions of these businesses during the COVID-19 pandemic differ from the broader, national picture.

Indigenous-owned and visible minority-owned businesses have tested or used research and development at a higher rate (roughly 11 per cent and nine per cent) than the national average of just under six per cent, the survey results show. Meanwhile, 17 per cent of businesses owned by those with disabilities tested or used e-commerce during the crisis, versus the national average of some 12 per cent.